User demand must drive federal digitization: Wall Communications report

A new report on federal cultural agencies online suggests organizations such as the National Archives of Canada and National Library of Canada must pay closer attention to user demand in future digitization efforts. That, and other key recommendations for creating online cultural content, is in the recently released A Study of Business Models Sustaining the Development of Digital Cultural Content prepared by Wall Communications Inc. for the Department of Canadian Heritage. Heritage officials say the point is well-taken, though other recommendations such as potentially implementing user-pay models likely aren’t on the table.

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CCR Update

CRTC sets rate of 52 cents per subscriber per month for use of inside wiring
The CRTC has set a rate of 52 cents per subscriber per month for the use of wiring by broadcast distributors in multiple-unit dwellings (MUD) – Broadcasting Public Notice 2002-51. The commission notes that it "sought to establish an inside wire fee for MUDs that would ensure consumers enjoy the full benefits of competition in distribution, including the benefits of end-user choice, while the interests of both incumbents and of new entrants are taken into account." The rate followed a process examining the issue that began in March with the release of Public Notice 2002-13 (CCR, March 15/02, Aug. 25/99).

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RoW Editorial

The opinions expressed in this editorial are those of the author and do not necessarily reflect those of Decima Reports.
 

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RoW International Short Takes

Wireless LNP could push up churn significantly
Wireless local number portability (LNP) has the potential to drive wireless carrier churn rates up to more than 36%, according to a new survey released by In-Stat/MDR. The Federal Communications Commission has mandated wireless LNP by November 2003, which the large wireless carriers have opposed. However, the smaller, regional carriers want wireless LNP because they say it would allow them to be more competitive with the larger players. That gives wireless carriers slightly more than a year to make the necessary equipment and software upgrades to their systems. Some estimates have pegged the total investment by wireless carriers to make wireless LNP a possibility between US$900 million and US$1 billion with annual costs of US$500 million to support the new systems. In markets where wireless LNP has been introduced, churn rose between 25% and 50%. In-Stat/MDR projects that within the first full year of wireless LNP, there will be 22.2 million churning subscribers. The churn rate will drop to 30% in the following year and another 10% in the ensuing years. The survey reported that only 6% of respondents plan to churn within the next 12 months, but that another 36.6% say they might. It also noted that number portability would make them more likely to switch, with 52% indicating they would. Among those that had not switched carriers in the last 12 months, 54% would switch if they could port their current number with them.

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RoW People

Sierra Wireless Inc. has appointed Bill Dodson as VP manufacturing and supply with the responsibility for the company’s manufacturing and supply chain needs. Formerly VP global operations at Gateway Computers, Dodson was charged with strategic planning, development and implementation of global manufacturing and supply chain programs. He previously served with Toshiba America Information Systems as director of operations for desktop and server manufacturing in addition to director of business planning. Sierra Wireless’ chair and CEO David Sutcliffe said in a news release that Dodson will play a key role at the company as it focuses on profitable growth in wireless data communications.

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RoW Short Takes

Battle between Telus and TWU spills into wireless operations
Contractual wrangling between the Tele-communications Workers Union and Telus Corp. is spilling over into the telco’s wireless operations as both sides battle over whether former Clearnet Communications Inc. employees are now actually part of the union. The union says former Clearnet employees are now part of the larger company and it only makes sense that they would fall under the union’s pact with the company. On the other hand, Telus, which acquired Clearnet two years ago, says it’s not as simple as that (RoW, Sept. 5/00). The telco claims that it set up a separate company which employs the former Clearnet employees. The two sides have been battling for some time since the last contract ran out in December 2000. In the nearly two years since then, the union and the company have met more than 100 times. In an effort to come to a mediated agreement, the two sides are arguing their cases to the Canadian Industrial Relations Board. Last week, the board was to have heard from several key witnesses, but only heard from one expert witness the entire week. Further hearings are scheduled this fall. The struggle between the two sides has recently taken a nasty turn as the union is claiming that Telus is funneling work traditionally completed by unionized workers in western Canada to non-unionized employees in central Canada.

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Toronto startup to enable wireless home gateways supporting multiple devices

Toronto-based startup is prepararing to unveil details of a new chip set that can turn digital set-top boxes into home gateways capable of wirelessly streaming broadcast-quality video to TVs, PCs and other wireless devices within the home. ViXS Systems Inc. has developed a chip set that helps create a wireless home-based Internet Protocol (IP) network, which promises to connect multiple devices using 802.11a and 802.11b wireless standards.

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Globalstar Canada chops satellite service prices to drive subscriber additions

Globalstar Canada has taken dead aim at driving subscriber additions north by chopping its satellite phone service prices to as little as 32 cents per minute for high-use packages, which includes long distance. The company credits the ongoing reorganization at its parent company Globalstar LP, which also announced rate decreases last month, as the primary reason for being able to cut rates and prices on handsets.

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Wireless carriers win review of network access portion of price cap decision

Canada’s wireless carriers have won a review of the competitor digital network access (DNA) policy and associated interim tariffs following a surprising decision by the CRTC to review and vary portions of its price cap decision, Telecom Decision CRTC 2002-34. In Public Notice 2002-4, the commission ruled that it may have incorrectly restricted what was in the competitor DNA tariff.

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Wi-Fi service theft in U.S. growing concern for broadband service providers

Internet service theft is a growing concern in the United States as more people use a popular wireless access technology to share their Internet service with neighbours, friends and even strangers. Not only is the increased use of 802.11b, or Wi-Fi, technology worrying broadband providers like AT&T Corp. and AOL Time Warner, copyright content owners are concerned that these same people are infringing on their content.

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